Welltower Reports Strong FFO but Misses Net Income Expectations
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4 days ago
0mins
Should l Buy WELL?
Source: seekingalpha
- Strong Financial Performance: Welltower's quarterly normalized funds from operations (FFO) reached $1.45, exceeding the market expectation of $1.44 and marking a 28.3% year-over-year increase, indicating robust performance in the senior housing sector.
- Revenue Exceeds Expectations: The company reported revenue of $3.18 billion, surpassing the expected $2.99 billion, reflecting sustained growth and strong market demand in the senior housing industry.
- Net Income Misses Expectations: Despite the strong FFO, the net income attributable to stockholders was only $0.14, significantly below the expected $0.56, which may impact investor confidence.
- Investment and Liquidity Status: Welltower completed $13.9 billion in investments and reported $10.2 billion in available liquidity at the end of Q4, demonstrating strategic capability in expanding its business and adapting to market changes.
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Analyst Views on WELL
Wall Street analysts forecast WELL stock price to rise
13 Analyst Rating
12 Buy
1 Hold
0 Sell
Strong Buy
Current: 208.140
Low
182.00
Averages
209.00
High
231.00
Current: 208.140
Low
182.00
Averages
209.00
High
231.00
About WELL
Welltower Inc. is focused on rental housing for aging seniors across the United States, United Kingdom, and Canada. The Company's portfolio of 2,000+ seniors and wellness housing communities are positioned at the intersection of housing and hospitality. Its segments include Seniors Housing Operating, Triple-net and Outpatient Medical. Its Seniors Housing Operating properties include seniors apartments, assisted living communities, independent living/continuing care retirement communities, independent supportive living communities (Canada), care homes with and without nursing (United Kingdom) and combinations thereof. Its Triple-net properties include the property types described above as well as long-term/post-acute care facilities. It invests in seniors housing and healthcare real estate through acquisition of single tenant properties. Its Outpatient Medical properties are typically leased to multiple tenants and generally require a certain level of property management by the Company.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Welltower Inc. Reports Strong Q4 2025 Earnings and Ambitious 2026 Outlook
- Significant Revenue Growth: Welltower achieved a remarkable 36% revenue growth and 32% EBITDA growth in 2025, indicating strong performance in the high-growth senior housing market, which is expected to further enhance its competitive position.
- Active Investment Activity: The company completed nearly $11 billion in net investments in 2025, primarily focused on high-growth senior housing properties, a strategy that will lay the groundwork for future revenue growth.
- Optimistic Future Outlook: Management projects net income per share for 2026 to be between $3.11 and $3.27, with year-over-year same-store NOI growth expected between 11.25% and 15.75%, reflecting the company's confidence in future growth.
- Investment in Technology and Talent: Welltower launched its private funds management business and made significant investments in technology and talent, aiming to enhance operational efficiency and market responsiveness, thereby driving long-term growth.
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Norway's Sovereign Fund Takes Major Stake in Palantir
- Major Investment: Norges Bank disclosed a new $5.15 billion stake in Palantir in its Q4 13F report, representing about 0.55% of its entire U.S. equity portfolio, indicating strong institutional confidence in the company.
- Market Dynamics: Following an estimated $15 billion loss for short sellers from 2022 to 2024, the fund's investment suggests it views Palantir as a strategic data platform with durable value rather than a mere trading stock.
- Investment Strategy: This move transforms Palantir from a controversial investment into a core asset within Norges' portfolio, despite ongoing debates in technical analysis circles.
- Industry Impact: Burry's bearish predictions contrast sharply with Norges' bullish stance, reflecting institutional trust in Palantir's long-term potential, which may influence other investors' decisions.
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Welltower WELL Q4 2025 Earnings Call Transcript
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Welltower Declares Quarterly Dividend of $0.74 per Share
- Quarterly Dividend Announcement: Welltower declares a quarterly dividend of $0.74 per share, consistent with previous distributions, indicating the company's stable cash flow and shareholder return strategy, which is expected to bolster investor confidence.
- Dividend Yield: The forward yield of 1.47% reflects the company's attractiveness in the current market environment, potentially drawing in investors seeking stable income.
- Payment Schedule: The dividend will be payable on March 10, with a record date of February 25 and an ex-dividend date also on February 25, providing investors with a clear timeline for investment decisions.
- Strong Financial Performance: Welltower's Q4 FFO of $1.45 beats expectations by $0.01, and its revenue of $3.18 billion exceeds forecasts by $190 million, demonstrating the company's robust performance and growth potential in the market.
See More
Welltower Exceeds Q4 Revenue Expectations
- Strong Revenue Performance: Welltower reported Q4 revenue of $3.18 billion, exceeding market expectations by $190 million, indicating robust growth potential in the healthcare real estate sector and solidifying its market position.
- Earnings Per Share Growth: The company achieved a funds from operations (FFO) of $1.45 per share, beating estimates by $0.01, reflecting improved operational efficiency and profitability, which may attract more investor interest.
- Positive Stock Reaction: Following the earnings beat, Welltower's shares rose by over 1%, indicating market recognition of its financial performance and potentially boosting investor confidence, which could lead to increased capital inflows.
- Quantitative Rating Analysis: According to Seeking Alpha's Quant Rating, Welltower is assessed as outperforming the market, further supporting its attractiveness as an investment in healthcare real estate, especially in the current economic climate.
See More
Welltower Reports Strong FFO but Misses Net Income Expectations
- Strong Financial Performance: Welltower's quarterly normalized funds from operations (FFO) reached $1.45, exceeding the market expectation of $1.44 and marking a 28.3% year-over-year increase, indicating robust performance in the senior housing sector.
- Revenue Exceeds Expectations: The company reported revenue of $3.18 billion, surpassing the expected $2.99 billion, reflecting sustained growth and strong market demand in the senior housing industry.
- Net Income Misses Expectations: Despite the strong FFO, the net income attributable to stockholders was only $0.14, significantly below the expected $0.56, which may impact investor confidence.
- Investment and Liquidity Status: Welltower completed $13.9 billion in investments and reported $10.2 billion in available liquidity at the end of Q4, demonstrating strategic capability in expanding its business and adapting to market changes.
See More
Welltower Inc. Reports Strong Q4 2025 Earnings and Ambitious 2026 Outlook
- Significant Revenue Growth: Welltower achieved a remarkable 36% revenue growth and 32% EBITDA growth in 2025, indicating strong performance in the high-growth senior housing market, which is expected to further enhance its competitive position.
- Active Investment Activity: The company completed nearly $11 billion in net investments in 2025, primarily focused on high-growth senior housing properties, a strategy that will lay the groundwork for future revenue growth.
- Optimistic Future Outlook: Management projects net income per share for 2026 to be between $3.11 and $3.27, with year-over-year same-store NOI growth expected between 11.25% and 15.75%, reflecting the company's confidence in future growth.
- Investment in Technology and Talent: Welltower launched its private funds management business and made significant investments in technology and talent, aiming to enhance operational efficiency and market responsiveness, thereby driving long-term growth.
See More
Norway's Sovereign Fund Takes Major Stake in Palantir
- Major Investment: Norges Bank disclosed a new $5.15 billion stake in Palantir in its Q4 13F report, representing about 0.55% of its entire U.S. equity portfolio, indicating strong institutional confidence in the company.
- Market Dynamics: Following an estimated $15 billion loss for short sellers from 2022 to 2024, the fund's investment suggests it views Palantir as a strategic data platform with durable value rather than a mere trading stock.
- Investment Strategy: This move transforms Palantir from a controversial investment into a core asset within Norges' portfolio, despite ongoing debates in technical analysis circles.
- Industry Impact: Burry's bearish predictions contrast sharply with Norges' bullish stance, reflecting institutional trust in Palantir's long-term potential, which may influence other investors' decisions.
See More
Welltower WELL Q4 2025 Earnings Call Transcript
See More
Welltower Declares Quarterly Dividend of $0.74 per Share
- Quarterly Dividend Announcement: Welltower declares a quarterly dividend of $0.74 per share, consistent with previous distributions, indicating the company's stable cash flow and shareholder return strategy, which is expected to bolster investor confidence.
- Dividend Yield: The forward yield of 1.47% reflects the company's attractiveness in the current market environment, potentially drawing in investors seeking stable income.
- Payment Schedule: The dividend will be payable on March 10, with a record date of February 25 and an ex-dividend date also on February 25, providing investors with a clear timeline for investment decisions.
- Strong Financial Performance: Welltower's Q4 FFO of $1.45 beats expectations by $0.01, and its revenue of $3.18 billion exceeds forecasts by $190 million, demonstrating the company's robust performance and growth potential in the market.
See More
Welltower Exceeds Q4 Revenue Expectations
- Strong Revenue Performance: Welltower reported Q4 revenue of $3.18 billion, exceeding market expectations by $190 million, indicating robust growth potential in the healthcare real estate sector and solidifying its market position.
- Earnings Per Share Growth: The company achieved a funds from operations (FFO) of $1.45 per share, beating estimates by $0.01, reflecting improved operational efficiency and profitability, which may attract more investor interest.
- Positive Stock Reaction: Following the earnings beat, Welltower's shares rose by over 1%, indicating market recognition of its financial performance and potentially boosting investor confidence, which could lead to increased capital inflows.
- Quantitative Rating Analysis: According to Seeking Alpha's Quant Rating, Welltower is assessed as outperforming the market, further supporting its attractiveness as an investment in healthcare real estate, especially in the current economic climate.
See More
Welltower Reports Strong FFO but Misses Net Income Expectations
- Strong Financial Performance: Welltower's quarterly normalized funds from operations (FFO) reached $1.45, exceeding the market expectation of $1.44 and marking a 28.3% year-over-year increase, indicating robust performance in the senior housing sector.
- Revenue Exceeds Expectations: The company reported revenue of $3.18 billion, surpassing the expected $2.99 billion, reflecting sustained growth and strong market demand in the senior housing industry.
- Net Income Misses Expectations: Despite the strong FFO, the net income attributable to stockholders was only $0.14, significantly below the expected $0.56, which may impact investor confidence.
- Investment and Liquidity Status: Welltower completed $13.9 billion in investments and reported $10.2 billion in available liquidity at the end of Q4, demonstrating strategic capability in expanding its business and adapting to market changes.
See More
